Alberta won’t hesitate to throttle back oil and gas production if British Columbia continues to stand in the way of the Trans Mountain pipeline expansion, Premier Rachel Notley said Thursday.

The tough talk in Alberta’s throne speech signalled a hardened resolve by the government to fight for pipelines and the billions of dollars in revenue that expanded market access would add to the economy.

In the speech delivered by Lt.-Gov. Lois Mitchell, the province doubled down on the message Notley and her government have repeated since the trouble with B.C. began in January: “We will do whatever it takes.”

“In the past, when workers in our energy industry were attacked and when the resources we own were threatened, premier Peter Lougheed took bold action,” Mitchell said.

“We will not hesitate to invoke similar legislation if it becomes necessary owing to extreme and illegal actions on the part of the B.C. government to stop the pipeline.”

The threat harkens back to 1980 and the National Energy Program, which then-premier Peter Lougheed called a “declaration of war” against Alberta.

In retaliation, Lougheed passed legislation allowing him to reduce Alberta’s oil exports to Ontario by 15 per cent. He didn’t turn off the oil tap completely, but adjusted the flow so central Canada felt the pinch — and Ottawa agreed to renegotiate the program.

British Columbians would feel an almost immediate bite if Alberta follows through, said fuel-industry analyst Dan McTeague.

“I would think $2 a litre (for gasoline) would certainly be a starting point,” McTeague said.

B.C. Environment Minister George Heyman responded to Notley by saying the province will continue to defend its interests when it comes to protecting the environment.

“I see no reason for the government of Alberta to take any action when all B.C. has been doing is standing up for our interests,” he said in Victoria.

Notley told reporters Thursday she hopes Alberta never has to take such drastic action, because “that’s not how Canada should work.”

“We’re looking at giving ourselves the greatest range of tools as we go forward, at giving ourselves maximum flexibility,” she said.

“Our focus is getting people’s attention on the matter. We’re not interested in creating a crisis in any way.”

Notley dismissed suggestions this is a change of heart for her government, saying the conversation around retaliatory tools has constantly evolved.

“We happen to be in session now and it makes sense to let people know in advance we’re going to be looking at legislation,” she said.

Such a move would be the latest in the pipeline battle between Canada’s two western provinces, which started when B.C. said it would restrict increases in bitumen shipments from Alberta until more spill response studies are conducted.

Notley slammed the move as defying Confederation, then suspended electricity purchase negotiations and implemented a B.C. wine boycott. She rolled that back when B.C. Premier John Horgan sent the bitumen proposal to court.

But Alberta is keeping its eye on its western neighbour, saying any further attempts to stall pipeline construction will be met with retaliatory measures.

Ripping off UCP ideas: Kenney

United Conservative Party Leader Jason Kenney was unimpressed with the throne speech.

But if imitation is the sincerest form of flattery, he told reporters, “then I’m very flattered.”

Kenney accused the NDP of ripping off his stance on pipeline retaliation and his party’s work on rural crime, saying he has been advocating that Alberta “do a Lougheed” since Day 1.

“It was just a month ago I was proposing a unanimous consent motion speaking to Ottawa and Victoria on the pipeline issue and … now all of a sudden they seem to think it’s a good idea,” he said.

“I guess I should be flattered, but I wish they were ahead of the curve and not behind it on these strategies.”

Kenney also took a swing at the government’s talk of economic recovery, saying it didn’t jibe with what he has heard around the province.

“The Albertans I meet don’t feel a recovery. They don’t buy the happy talk,” he said.

Action on rural crime

The provincial government didn’t want to engage in an emergency debate about rural crime during the fall session, but it made moves to address the issue in Thursday’s throne speech.

Working with the RCMP, the government has developed new initiatives to combat rural crime, Mitchell said. They address the specific challenges of rural policing and making sure people who break the law are held to account.

The programs include new bait-and-track technology (especially for farm equipment), “putting boots on the ground where they’re needed most” and new measures to help police spend less time on paperwork and more time in the community.

Moves to diversify the economy

The provincial government will introduce three bills in the coming days to diversify Alberta’s economy, Mitchell said.

First off, Bill 1 will focus on diversification within the energy sector. It comes in two parts. A $1-billion investment supporting new partial upgrading facilities in Alberta, and new programs to build more petrochemical plants.

The second bill will focus on diversification across the economy, Mitchell said.

The Growth and Diversification Act will expand existing tax credits and introduce new ones, create thousands of new technology-focused post-secondary spaces, and extend capital investment and Alberta investor tax credits. It will also create a new digital industries tax credit.

Bill 3 will lay the groundwork for new renewable energy jobs and a capacity market for Alberta’s electricity system, to help stabilize power prices.

And when the budget comes down March 22, Albertans can expect to see a lower than usual dependence on non-renewable resource revenues.

Other legislation outlined in the throne speech included more public drug treatment options and rules to ensure safe and quality care in private facilities, and more harm reduction services and public education around drugs,

The province will also expand the school nutrition and affordable child care programs, and improve income supports. It is also embarking on a review of the Persons with Developmental Disabilities program.

United Conservative Party Leader Jason Kenney prepares to take his seat as leader of the official Opposition in the legislature on Thursday, March 8, 2018.Larry Wong /
Postmedia

With files from Postmedia and CP

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